Domestic acquisitions (UK companies acquiring other UK companies) involving a change in majority ownership fell sharply to 26 transactions in Q1 2014, from 59 transactions in Q4 2013. This is the lowest level of domestic M&A activity reported since ONS first began publishing these data in 1969.

There were 20 acquisitions in the UK by foreign companies in Q1 2014, which is one of the lowest levels on record. The only periods where the level has been lower are in Q1 2013 (19) and Q2 1987 (11).

The number of acquisitions abroad by UK companies, however, increased to 26 in Q1 2014 from 11 in Q4 2013. This level of activity, though, remains low compared with historical standards.

Relatively slow global economic growth, lack of confidence within the M&A markets and the length of time involved to complete transactions are all factors which may have caused an overall decline in M&A activity during Q1 2014.